Mastercard remains on the hunt for potential acquisitions, but the card network’s executives declined Thursday to comment on a report the company may acquire the crypto infrastructure business Zerohash.
The card network is in the late stages of talks to buy the startup for as much as $2 billion, the digital magazine Fortune reported Thursday, citing unnamed sources.
Top executives for the Purchase, New York-based Mastercard were asked about the possibility during a webcast with analysts Thursday to discuss the company’s third-quarter financial results.
After one analyst queried executives about the network’s interest in a crypto infrastructure purchases versus other assets, citing the Fortune report, CEO Michael Miebach sighed, before talking generally about the company’s appetite for acquisitions.
The CEO explained that as a former chief product officer, he’s well-versed in “organic innovation,” but he’s also prepared to have the company make purchases as well.
“There isn’t just one big bet,” Miebach said. “There’s a few things that we’re trying at any given point in time.”
He expanded on the notion that the company will pursue a mix of buying businesses and building them. “The innovation muscle is all well, and it's not just about mining companies out there,” Miebach said, before sidestepping any direct comment on the Zerohash speculation.
“We are not commenting on market rumors — you would have not expected me to say anything else,” the CEO said. “Yes, I saw that article as well,” he added.
The company’s chief financial officer, Sachin Mehra, reiterated the company’s merger and acquisition strategy always includes weighing whether to buy, build or partner with other companies, based on specifics in any given area.
Mehra made clear that buying opportunities are being considered. “The pipeline is robust,” Mehra said on the webcast. “We are very, very deliberate about how we go about filtering through and funneling through on that pipeline to make sure it’s on point, and it’s going to deliver the synergistic value that we expect.”
“We don’t comment on speculation,” a Mastercard spokesperson reiterated when asked about the Fortune report by email.
Mastercard’s third-quarter net income rose 20% to $3.9 billion as revenue climbed 15% to $8.6 billion, according to the earnings report the company released Thursday.
